Downing Structured Opportunities VCT 1 - D Share Offer

Closing date extended to 29 June 2012

The closing date for our VCTs has been extended to midday on 29 June 2012.

 

Introduction

Downing Structured Opportunities VCT 1 is a Planned Exit VCT seeking to target capital preservation by focusing on making investments into investee companies that own substantial assets or have predictable revenue streams. It plans to wind up within six years.

It is targeting a regular income of 7.1% p.a. tax-free on net of tax cost and will allow investors to claim 30% income tax relief on their subscription, subject to circumstances and a five year holding period.

 

How to apply

In order to invest please read the Prospectus and then complete the Application Form and return it to Downing:

Investor Guide, Reviews & Suitability Paragraphs

 

Method of payment for applications

Payment for applications can be made by cheque, made payable to "Downing Structured Opportunities VCT 1 plc - D Share", or by electronic bank transfer, using the details below:

  • Downing Structured Opportunities VCT 1 plc - D Share
  • Account No.: 00709930
  • Sort code: 16-01-09
  • Bank: Royal Bank of Scotland, 119 - 121 Victoria Street, London SW1E 6RA
  • Please put your (investor's) name as the payment reference.
 

Key points

  • 30% income tax relief: on the amount subscribed on up to £200,000 per tax year, subject to circumstances and five year holding period.

  • Planned exit: expected within six years.

  • Managing risk: objective of reducing the risks normally associated with VCTs.

  • Regular income: 7.1% p.a. tax-free target on net of tax cost. Target dividends comprise 2.5p expected in January and September each year until January 2017, with the remainder of shareholder proceeds expected to be paid out in 2017 and 2018. First dividend expected September 2012. Please note the level and dates of dividends are objectives and are not guaranteed.
 

Investment strategy

It is intended that the majority of the investments will be made in investee companies that own substantial assets (e.g. children's nurseries, health clubs, pubs) and the VCT will seek to take a charge over these assets in order to reduce risk. The funds raised under the Offer will be invested over three years and it is anticipated that by 31 March 2015 the asset allocation will be as follows:

  • Qualifying Investments (75%): will focus on investee companies that own substantial assets (over which the VCT will seek to take a charge in order to reduce risk) or have predictable revenue streams.
  • Non-Qualifying Investments (25%): will invest in a portfolio of institutional Structured Products managed by Brewin Dolphin. This portfolio will aim to achieve capital gains and preserve capital. For an example of a structured product, read here: Structured Product example.
 

Closing dates and subscription amounts

Closing dates

  • Midday on 29 June 2012 for the 2012/13 tax year

Subscription amounts

  • Minimum individual subscription: £5,000
  • Maximum individual subscription: £200,000
 

Claiming income tax relief on your VCT investment

To claim your 30% income tax relief, please follow the steps provided in our guide: 

 

Other related documents